Explore Special Offers & White Papers from ADMIS

Decline in Global Gas Production

CRUDE OIL

While the crude oil market has managed to discount further delays in recovery of US and European energy demand, we wonder if that capacity is about to run out. In fact, we see softer US data, further delays in US stimulus checks, a rising Dollar and signs that China might be poised stem rising industrial material prices as a bearish cloud hanging over an overbought market.

NATURAL GAS

With a slightly warmer US temperature forecast and a report that despite a decline in global gas production of 3.6%, consumption failed to prevent a net build in supply. In fact, the forecast from Oslo indicated that global gas demand fell by 2.5% and therefore the bull camp is facing ideas that without a quick recovery outside of China or without extreme and entrenched cold weather in the US and Europe, prices are likely to be limited under the $2.75 level.

Futures and options trading involve significant risk of loss and may not be suitable for everyone.  Therefore, carefully consider whether such trading is suitable for you in light of your financial condition.  The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM.  The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared.  The information provided is designed to assist in your analysis and evaluation of the futures and options markets.  However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.

Latest News & Market Commentary

Explore Special Offers & White Papers from ADMIS

Get Started